Searching over 5,500,000 cases.


searching
Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.

CRESWELL-KEITH, INC. v. WILLINGHAM

March 26, 1958

CRESWELL-KEITH, INC., AN ARKANSAS CORPORATION, TRUSTEE FOR CRESWELL-KEITH MINING TRUST, PLAINTIFF,
v.
B.F. WILLINGHAM, W.S. BRADHAM (ALSO KNOWN AS W.S. (PETE) BRADHAM), MILDRED WILLINGHAM, AND FLOY BRADHAM, DEFENDANTS.



The opinion of the court was delivered by: John E. Miller, District Judge.

Separate motions to dismiss have been filed by the defendants, B.F. and Mildred Willingham, and by the defendants, W.S. (Pete) Bradham and Floy Bradham, and said motions are before the Court upon the record and the briefs of the parties.

In its complaint plaintiff alleges that the Court has jurisdiction under 15 U.S.C.A. § 77v, and that all parties to the action are citizens of the State of Arkansas. Plaintiff further alleges:

    "3. On several occasions in August, September,
  October and November, 1956, Defendants, B.F.
  Willingham and W.S. (Pete) Bradham orally offered to
  sell and assign to Plaintiff, through its president
  R.N. Keith, their undivided interests in certain
  leases of the gross production of oil, gas, and other
  minerals from lands situated in Union, Nevada,
  Ouachita and Dallas Counties in Arkansas. These
  interests referred to in this Complaint as The
  Interests, were offered for sale to Plaintiff
  together with certain personal property, accounts
  receivable and equipment of Oil Well Service Company
  (a joint enterprise entirely owned by Defendants,
  B.F. Willingham and W.S. (Pete) Bradham).
    "4. On or about September 6, 1956, Defendants, B.F.
  Willingham and W.S. (Pete) Bradham and Plaintiff
  entered into an Escrow Agreement at The First
  National Bank of Gurdon, Arkansas, with that Bank
  named as Escrow Agent. Subject of the Agreement was:
    "`One Eighth of seven eights working interest of
  the 120 acres and four producing wells now in
  production known as the Newton Estate "A" Lease,
  wells A 1, 2, 3 and 4. (One, Two, Three and Four),
  more particularly described as Section 35, Township
  17 S, Range 15 West.'
  Under terms of the Escrow Agreement the Agent was to
  complete the assignment of the described interest
  (referred to in this Complaint as the one-eighth in
  the seven-eights of the Newton `A') to Plaintiff if
  it obtained $7,000.00 from two separate bank accounts
  owned by Plaintiff ($5,000.00 from the Valley
  National Bank, Nogales, Arizona, in the account of
  Santa Lucia Y Anexas, a predecessor of Plaintiff and
  $2,000.00 from The Commercial National Bank, Little
  Rock, Arkansas) for Defendants.
    "5. Defendants signed and mailed from Gurdon,
  Arkansas, and/or El Dorado, Arkansas, to the
  Stanolind Oil Purchasing Company of Tulsa, Oklahoma,
  a Division Order stipulation covering the transfer of
  the one-eighth in the seven-eights interest in the
  Newton `A' Lease.
    "6. Defendants then caused the Stanolind Oil
  Purchasing Company to mail its check to Plaintiff.
  The check sent through the U.S. Mail was received by
  Plaintiff in Hot Springs, Arkansas, on or about
  November 19, 1956. This check in the sum of $913.32
  was represented by Defendants B.F. Willingham and
  W.S. (Pete) Bradham to Plaintiff as being one months
  `run' on the Newton `A' lease. In fact, it
  represented the accumulation of several months
  payments, which Defendants well knew.
    "7. On the basis of the oil run check, referred to
  in Paragraph 6, the oral misrepresentations
  concerning it, and the other oral misrepresentations
  made to Plaintiff by Defendants, B.F. Willingham and
  W.S. (Pete) Bradham Plaintiff and Defendants entered
  into an Assignment Agreement dated November 29, 1956,
  by which Plaintiff purchased The Interests, and the
  personal property, accounts receivable and equipment
  of Oil Well Service Company. One of the properties
  involved in this transaction was the remaining
  portion of the Newton `A' lease and it was the most
  substantial single item of consideration in the
  Assignment of November 29, 1956. Defendant's
  misrepresentation that the oil run check it caused to
  be mailed to Plaintiff was one months payment, led
  Plaintiff to believe the

  worth of the Newton `A' lease to be greater by far
  than it actually was and led Plaintiff to believe the
  other misrepresentations of Defendants.
    "8. The Assignment of November 29, 1956 was a
  contingent Assignment, Complete upon Plaintiff paying
  certain debts and obligations of Defendants, B.F.
  Willingham and W.S. (Pete) Bradham and the Oil Well
  Supply Company.
    "9. The Assignment, attached as Exhibit D, sets
  forth fully and describes the obligations and debts
  to be paid and The Interests, personal property,
  accounts receivable and Equipment of Oil Well Supply
  Company.
    "10. Plaintiff has paid $90,000.00 of these debts
  and obligations and Plaintiff has assumed and has
  accepted responsibility of payment of Obligations of
  Defendants in the further amount of $2,500.00 (for
  property damage in certain litigation over the salt
  water claims).
    "11. On or about the 4th day of September, 1956,
  Defendants placed or caused to be placed, in the
  United States Mail at Gurdon, Arkansas, an envelope
  addressed to Valley National Bank at ...

Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.